Minister Gigaba meets with KwaZulu-Natal Premier Mkhize

Today the Minister of Public Enterprises, Mr Malusi Gigaba, led a delegation of Chief Executive Officers (CEOs) of State Owned Companies (SOCs) in the Public Enterprises portfolio on a provincial engagement with the KwaZulu-Natal Provincial Government. The Minister met with the Premier of KwaZulu-Natal, Dr Zweli Mkhize, the provincial Executive and senior officials in the province at the Dube Tradeport, in Durban.

Minister Gigaba was accompanited by the Public Enterprises Deputy Minister, Dikobe Ben Martins, the Group Chief Executive of Transnet, Mr Brian Molefe, Eskom Chief Commercial Officer, Mr Dan Marokane, Mango CEO Mr Nico Bezuidenhout, the Acting CEO of Broadband Infraco, Dr Andrew Shaw and South African Forestry Company Ltd (SAFCOL) Acting CEO, Ms Maureen Manyama-Matome, and senior officials in the Department of Public Enterprises.

The visit to KwaZulu-Natal is part of Minister Gigaba’s Provincial Stakeholder Engagement plan, which seeks to ensure that plans of SOCs are aligned with the respective provincial growth strategies and economic development initiatives. To date, Minister Gigaba has held discussions with the Provincial governments of Gauteng, Northern Cape, Eastern Cape and North West.

Briefing the media, Minister Gigaba announced that “agreement has been reached but not yet signed,” between Transnet and the Airports Company of SA on the sale of the old Durban International Airport, which Transnet plans to develop into a dig-out port. The proposed dig-out port will include liquid bulk and Container Terminals, as well as an automotive terminal.

Minister Gigaba says Transnet plans to expand ports, rail and pipeline infrastructure in the KwaZulu-Natal Province which include expansion of the Richards Bay Coal Terminal, Port of Durban and upgrades to the provincial rail network systems.

“It’s important that we expand the rail, port and pipeline infrastructure to ensure we increase efficiency to provide the necessary backbone to the economy of the country,” says Minister Gigaba.

Premier Mkhize said the meeting is pertinent as it allows the province to give further meaning to the commitment in the State of the Province address, where infrastructure development was highlighted as key to job creation and skills development in the country.

The meeting concluded that the Public Enterprises Deputy Minister, Dikobe Ben Martins, and the KwaZulu-Natal MEC for Economic Development and Tourism, Mr Mike Mabuyakhulu, will lead a task team of officials to follow up on today’s discussions and work to unblock any bottlenecks hampering service delivery in the implementation of the key SOC and provincial projects.

In terms of Broadband connectivity to the province, the Acting CEO of Broadband Infraco, Dr Andrew Shaw, announced that as part of the Independent Communications Authority of South Africa (ICASA) licence obligations, the company will be providing connectivity to under services areas of Ugu, Umgungundlovu, Uthukela, Zululand, Umzinyathi, Umkhanyakude, Uthungulu, iLembe and the Gert Sibande districts. Commissioning will occur over three phases between 2012 and 2015.

Broadband Infraco is also embarking on developing future networks to provide diversity to existing routes and provide an improved footprint into the province. The future possible network connections include development of the northern route from Durban to Ladysmith via Stanger, Richards Bay, Mkuze, Golela, Vryheid and Dundee.

Minister Gigaba also indicated that the state owned airlines are considering King Shaka International Airport as a secondary regional hub in addition to OR Tambo International Airport, to connect South Africa to the continent and the rest of the world.

In response to the coming COP17, Minister Gigaba announced that the Department of Public Enterprises would soon launch the framework on climate change, which will provide a framework of how SOC in the Department portfolio will gradually reduce greenhouse emission.

“We are mindful of the climate change considerations when SOC implement their Capital Infrastructure development plans. The launch of the framework provides us with an opportunity and say how do we expand infrastructure development in a manner that is cognisant of climate change and reduce carbon  emissions that impacts negatively on the climate,” says the Minister Gigaba.

The department will launch the booklet on the framework on climate change for SOC before the COP17 meeting taking place in Durban.

For further information kindly contact:
Richard Mantu
Cell: 072 488 1520
E-mail: Richard.mantu@dpe.gov.za

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